Boston, March 26, 2020 – Many regulators have encouraged collaboration, creating regulatory sandboxes, tech sprints, and innovation hubs in an effort to bring regulators, fintech firms, established vendors, and FIs together. Testing, reviewing, and discussing proposed products and services encourage dialogue and cooperation. The regulator involvement allows both established vendors and fintech firms to get firsthand advice and guidance, helping the firms involved to understand regulatory requirements and landscapes.

This report provides a background to regulatory sandboxes, tech sprints, and wider collaboration, describing the approach taken, the benefits, and the considerations. This report was created from research and discussions with the U.K.’s Financial Conduct Authority; the Consultative Group to Assist the Poorest (CGAP), a division of the World Bank; and the Alliance for Innovative Regulation (AIR), a new nonprofit organization that seeks to increase collaboration between regulators, government agencies, and the industry.

This 22-page Impact Report contains two figures and five tables. Clients of Aite Group’s Fraud & AML service can download this report, the corresponding charts, and the Executive Impact Deck.

This report mentions the FCA, CGAP, AIR, and the Global Financial Innovation Network (GFIN).